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The man can be seem stabbing the giant inflatable Frosty and trying unsuccessfully to cut a rope tethering the decoration to the ground.
"We could see a pickup truck come down the street- down the alley here- a passenger jumped out you can see him run up to the snowman here and shank it, try to cut the rope and then he took off went back to the truck and took off it was pretty quick" Diggs told KTVI-TV.
The video shows Frosty slowly slumping over as the air escapes from his wound.
"It's just mean spirited, it's silly vandalism" Diggs said. "It looks like a couple of kids just having fun. While it might be fun to you it hurts other people."
"This is a nice place to live and I want to try and keep it that way" Diggs said. "So if we all at least make everyone aware of what happens -- more eyes on the street -- more people paying attention to what's going on, hopefully those kinds of senseless acts will decrease."
Diggs created a tongue-in-cheek GoFundMe page to raise funds for Frosty's "medical expenses" resulting from the "mob hit style assault."
"I wrote it from a humor perspective to kind of make me feel better about what had happened and there's a lot of outrage you can tell people are outraged you can tell people are disgusted about what took place the senselessness of it," he said.
Diggs said money raised on the crowdfunding site will be donated to a local children in need charity.